Sales and Use Tax Remittance Amendments
What changed between versions
Updated the sales thresholds for marketplace facilitators to require tax collection if sales exceed $100,000 or 200 separate transactions, with a 60-day grace period for remote sellers to begin compliance.
Added a requirement for marketplace facilitators to separately track and report their own sales versus sales facilitated for third-party sellers in their books and records.
Prohibited marketplace sellers from paying sales tax on transactions where the marketplace facilitator is already required to collect and remit the tax.
Established a 'safe harbor' provision that limits a marketplace facilitator's liability for failing to collect taxes on past sales (2019-2022) to a specific error rate percentage based on the year of the sale.
Explicitly barred class-action lawsuits against marketplace facilitators regarding overpayments of sales tax collected on behalf of third-party sellers.
Appropriated $3,280,000 from the General Fund and $360,000 one-time to the Utah State Tax Commission for administrative expenses related to these changes.
Set the effective date of the new tax collection rules to July 1, 2025.
